CEAT Kelani fetes top dealers with weekend at Kandalama

Sri Lanka’s top tyre manufacturer CEAT Kelani Holdings has celebrated the achievement of domestic sales exceeding Rs. 6.2 billion in 2010-11 in the face of many challenges, with a gala felicitation of top dealers.

Best-performing dealers and their families were treated to a fun and entertainment filled weekend at Heritance Kandalama and Amaya Lake for their contributions to the company’s stellar performance, CEAT Sri Lanka reported that domestic sales and exports had grown by 52 per cent and 15 per cent respectively in 2010-11.
“We meet once again to celebrate our success in a year in which we grew by leaps and bounds despite the difficult global environment and high raw material costs,” CEAT Kelani Chairman Chanaka de Silva said in his welcome address. He disclosed that in 2010-11, all product segments had achieved growth, while CEAT radial tyres had achieved volume growth of 27 per cent to emerge as the single largest radial brand in Sri Lanka.
He said the company had invested substantially to improve technology and product quality and expanded its portfolio despite the challenging conditions, offering better value to customers and higher earnings to dealers. Consequent to enhancements in compounds, recent product tests had shown that CEAT tyres manufactured in Sri Lanka were delivering a tremendous improvement in mileage, on par with any Indian-made tyre brand, de Silva said.
CEAT Kelani Managing Director and CEO N. C. Venugopal told dealers that the company would complete another year of good performance on 31 March, although the business environment was even less conducive than in the preceding year. Rubber prices had risen sharply in the first half of the year and the halving of duties on imported tyres had narrowed the price gap between imports and local products. Unprecedented fuel price hikes, higher tariffs for electricity and the depreciation of the Rupee had added to the challenges, he said, disclosing that 60 per cent of the company’s raw materials are imported.
Nevertheless, CEAT Kelani has the resilience to succeed and maintain its market leadership, Venugopal said, pointing out to dealers that, “It is in adversity that we should come together to face the challenges and emerge victorious.”
Pulsating musical entertainment, dance acts, and raffle draws for all dealers at which 19 valuable prizes including air tickets to India, Singapore, Bangkok, the Maldives and Dubai were presented, were part of the awards night, which was followed by a day of relaxation at the two host hotels.

A National Business Excellence Award winner in 2010 and 2011, CEAT – Kelani Associated Holdings is an Indo-Sri Lanka joint venture between the RPG Group of India and Kelani Tyre – Sri Lanka. The company operates three manufacturing units manufacturing truck, light truck, radial, motorcycle, three-wheeler and agricultural tyres and employs a workforce of 900 people.
Besides its dominance in the radial tyre segment, CEAT’s market shares in the Truck and Light Truck, Three-wheeler and motorcycle tyre segments stand at 58 per cent, 40 per cent and 15 per cent respectively, making it the single highest selling brand in Sri Lanka in these categories.